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ramble Service has over 200 auto-maintenance service outlets nationwide. It provides primarily two lines of service: oil changes and brake repair. Oil change-related services represent

ramble Service has over 200 auto-maintenance service outlets nationwide. It provides primarily two lines of service: oil changes and brake repair. Oil change-related services represent 80% of its sales and provide a contribution margin ratio of 15%. Brake repair represents 20% of its sales and provides a 65% contribution margin ratio. The company's fixed costs are $ 12,720,000 (or $ 96,000 per service outlet).

(a)

Calculate the dollar amount of each type of service that the company must provide in order to break even.

Oil changes

$ enter a dollar amount

Brake repair

$ enter a dollar amount

(B)

The company has a desired net income of $ 57,600 per service outlet. What is the dollar amount of each type of service that must be provided by each service outlet to meet its target net income?

Oil changes

$ enter a dollar amount

Brake repair

$ enter a dollar amount

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